So just as a matter of arithmetic, fairly soon after that date there would have to be significant cuts in Social Security, Medicare, military pay or some combination of those in order to avoid borrowing more money.
Bernanke explains the potential need for significant cuts to essential programs if the debt ceiling is not raised.
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I agree that no individual and no institution should be exempt from paying for crimes that they commit.
The challenge for the Congress and the Administration is to put the Federal budget on a sustainable long-run path that promotes economic growth and stability without unnecessarily impeding the current recovery.
Congress, I hope, has the foresight to see that interest rates will not be this low forever.
We want to deploy it in ways that have the greatest benefit for the least cost.
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